The US is revoking a license for transactions involving Iranian oil after Iran struck commercial vessels in the Strait of Hormuz, Axios journalist Barak Ravid reported.
According to him, the US Treasury Department’s Office of Foreign Assets Control revoked a general license previously issued to Tehran under a memorandum of understanding.
“As President Trump and his administration have repeatedly stated, the existing memorandum of understanding with Iran is based entirely on the principle of compliance. Iran will benefit only if it demonstrates proper behavior,” a US official said.
He added that Iran’s actions in the Strait of Hormuz were “completely unacceptable” to the US and would have consequences.
“Our negotiators continue to work in good faith toward reaching a final agreement,” the official said.
The US Treasury confirmed that it is revoking the license for transactions involving Iranian oil as of July 7. New transactions are now prohibited, while operations already under way may be completed by July 17.
The lifting of sanctions on Iranian oil was one of the terms of the memorandum between the US and Iran under which the Strait of Hormuz was unblocked.
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